AUSTRALIA & NEW ZEALAND The movement of talent from enterprises to smaller businesses

TALENTMIGRATIONTRENDS

Key takeaways from this report based on behavioural data of candidates moving from enterprises to smaller organisations:

There has been a year-on-year increase from 2012 to 2015 in the percentage of enterprise job switchers who are moving to small and mid-sized organisations (SMBs)

Almost half (44%) of these job switchers are experienced talent and they rate culture relatively higher than the job switchers who moved to enterprises

This talent pool is also 1.5 times more active than the average LinkedIn member in terms of connecting with professionals, active participation and sharing on the platform

This talent pool provides a unique opportunity to SMBs who are looking to hire this previously elusive enterprise talent

EXECUTIVE SUMMARY

GROWING TREND OF MOVEMENT FROM ENTERPRISE TO SMBSThere has been a strong upward trend of professionals who are moving from enterprises to smaller organisations. Compared to hub cities in the region like Hong Kong and the broader Southeast Asia region, Oceania markets are seeing a significantly higher percentage of job switchers in this category.

WHAT’S TRENDING #1

2014 201520132012

36% 38% 39% 41%

Year-on-year growth in the percent-age of job switchers moving from enterprises to SMBs.

INTRODUCTION

For mid-sized organisations, hiring skilled talent is a key differentiator in addressing competition. Often, a common approach is to seek talent from enterprise organisations who have gone through similar cycles of progress and leverage their strategic expertise.

In Australia and New Zealand this behaviour has given birth to a new trend - of skilled talent moving from enterprises to SMBs.

We looked at LinkedIn data to analyse how this migration is happening and what's powering the growth in this trend. The report throws some interesting insights, which SMBs can use to target their next hire and to understand candidate behaviour that's fuelling this growing phenomenon.

By building a strong employer value proposition, SMBs today can attract and hire skilled talent that was previously elusive. The playing field is leveled to a certain extent as professionals today are open to opportunities in smaller businesses.

TALENT OPPORTUNITY

Top 5 skills of enterprise to SMB job switchers

Management and Leadership

Process and Project Management

Customer Service

Business Development and Relationship Management

Strategy and Strategic Planning

MARKETING RELATED SKILLS IN DEMAND BY SMBS Job switchers who moved to an SMB (30%) have more marketing related skills like social media marketing, PR and events compared to those who switched from enterprise to enterprise (21%).

SMBS ATTRACTING MORE EXPERIENCED TALENT When comparing the level of experience of job switchers who are moving from enterprise to SMBs, almost half (44%) have more than 10 years of working experience. The knowledge and expertise they offer will be a strategic advantage for emerging businesses looking to grow.

WHAT’S TRENDING #2

WHAT’S TRENDING #3

2The Deloitte Millennial Survey 2016: Winning over the next generation of leaders”, Deloitte

Job switchers with a marketing related skill

Enterprise to enterpriseEnterprise to SMB

30% 21%

For enterprise to SMB switchers, “management and leadership” and “strategy and strategic planning” rank among the top 5 skills.

Hiring experienced enterprise talent will give SMBs a distinct edge in driving the business forward. Play up the opportunity for potential candidates to be part of a dynamic and exciting journey of change and growth, one where they can play a key role in driving innovation and a positive impact on the business.

TALENT OPPORTUNITY

It is a good time to hire executive, PR and marketing talent. When it comes to pipelining talent, be strategic and examine not just the current level of workforce capabilities but future business needs as well.

TALENT OPPORTUNITY

Years of working experience

5 to 10 years

More than10 years

0 to 5 years22%

44%

33%

THEY RATE CULTURE AND RELATIONSHIPS HIGHER

WHAT’S TRENDING #4

When we compare those switching from enterprise organisations to SMBs vis-à-vis those switching between enterprises, the former group rated having a compatible company culture and good relationships with colleagues slightly higher in terms of importance.

Top 5 considerations for enterprise to SMB job switchers

Excellent compensation& benefits

Culture that fitsmy personality

Challenging Work Ability to make an impact

Good work-life balance

43% 42%

37%41%

55%

Enterprise to EnterpriseEnterprise to SMB

0%

Culture

10%

20%

30%

40%

Good relationships with colleagues

42%

39% 34% 31%

Build an employer value proposition that is strategic and differentiated. Position your strengths as a potential employer by showcasing your company culture in terms of positive experiences that enrich and inspire employees.

TALENT OPPORTUNITY

Compared to those switching between enterprises, enterprise to SMB switchers consider culture and good working relationships to be more important.

“

“Things important to me in a job are culture, people I am working with, challenging opportunities and compensation.

- Ben Bradshaw, Lead Product Designer, Australia

WHAT’S TRENDING #5

THEY FOLLOW MORE COMPANIES AND ARE MORE CONNECTED ON LINKEDIN Compared to the average LinkedIn member in Australia and New Zealand, enterprise to SMB switchers are much more active on LinkedIn, with a significantly higher level of engagement. More than 90% use LinkedIn to stay up to date on the industry and companies they follow.

Enterprise to SMBjob switchers are more

active on LinkedIn.

Compared to the average LinkedIn member, enterprise to SMB switchers have a significantly higher level of engagement.

Build your company’s presence on platforms and touch points that are attracting the most interest and activity. Make sure that your strategy includes clear objectives, meaningful content and consistent engagement.

TALENT OPPORTUNITY

Stay up to date onindustry discussions

96%

Learn about companiesand other members

95%

Network with other professionals

92%

Access LinkedIn via mobile

88%

• More shares• More connected• More group activity• Check Inmail• Access LinkedIn via mobile

• Company follows

A competitive hiring landscape makes it even more imperative to adopt a strategic approach to talent acquisition. Focus on proactive and targeted engagement as well as investment in building a strong employer brand.

For SMBs looking to scale up, it is an opportune time to tap on the skills and expertise of enterprise talent that is on the move.

With more experienced talent moving out from enterprise organisations, attract them with the opportunity to be part of a dynamic and exciting journey of change and growth.

With word-of-mouth, referrals and social professional networks playing a growing role in influencing job seekers, LinkedIn offers invaluable insights and access to in-demand talent for SMBs of the future.

MOVING FORWARD

METHODOLOGYJob switchers were identified from LinkedIn members who indicated changing positions on their profiles, over a one year period (2015). The analysis set was narrowed down to members whose previous positions were at ‘Enterprise’ companies - companies which have over 500 employees as indicated on LinkedIn. Individuals were identified, who moved to ‘SMB’ - companies which have less than 500 employees as indicated on LinkedIn.

Based on profile information, various characteristics such as LinkedIn usage patterns, the lengths of their careers, industries, functions and skills were analyzed. Variances as a result of differences in professional, social, and regional culture, as well as overall site availability and accessibility were not accounted for in the analysis.

About LinkedIn Talent SolutionsAttract, recruit, and empower the best people for your business with LinkedIn. Get access to quality candidates – active and passive, external and internal – on the world’s largest professional network of 433 million candidates globally and 8 million in Australia and New Zealand.

Learn more

Request free product demo

RESEARCHERS AUTHORS

Josh CoulsonSenior Insights ManagerLinkedIn

Akash KauraEnterprise Accounts AnalystLinkedIn Talent Solutions

Pooja ChhabriaMarketing Manager, Acquisition & Digital LinkedIn

Isabell PriorAssociate Marketing ManagerLinkedIn

1

2

3

4